Netherlands-based ING has returned to the
black, posting a first quarter net profit of €1.33 billion ($1.69
billion), compared with a loss of €793 million in the corresponding
period a year ago.
While ING’s first quarter earnings were
boosted by the one-off gain of €400 million, following the sale of
its Asia and Swiss-based private banking arm, underlying retail
banking net earnings more than trebled to €626 million from the
year-ago quarter.
Go deeper with GlobalData
ING Direct, which suffered a miserable fiscal
2009 posting an annual loss of €666 million, recovered to record
profits before tax of €269 million in the first quarter.
The pioneer of the direct banking model, ING
Direct continued to struggle in the UK, posting a first quarter
loss of €9 million while UK-based total deposits fell by more than
10 percent year-on-year to €15.6 billion.
Average balances per UK savings clients have
also continued their recent sharp decline: down from €38,000 in the
fourth quarter of 2006 and €20,000 in the fourth quarter of 2007 to
just under €11,000 in the first quarter of 2010.
Across the group, ING Direct total customer
numbers increased by 2.7 percent year-on-year to 23.1 million with
total deposits up almost 10 percent to €227.2 billion.
US Tariffs are shifting - will you react or anticipate?
Don’t let policy changes catch you off guard. Stay proactive with real-time data and expert analysis.
By GlobalDataING’s insurance unit, set for sale before the
end of 2013 to comply with European Union regulations on state aid,
also returned to the black, posting profits of €269 million,
compared with a loss of €954 million a year ago.
